Legal text for SACC item
1. The price in Canadian funds includes a foreign currency component in respect of goods and/or services originating outside of Canada as detailed in form DSS-MAS 9411, Claim for Exchange Rates Adjustments, which forms part of this Contract. 2. The foreign currency component is defined as the element of the price which will be affected by exchange rate fluctuations. It excludes Canadian goods and services tax and excise taxes of an ad valorem nature on imported items and customs duty, but includes transportation costs payable in foreign currency. 3. The foreign currency component(s) subject to adjustment in respect of goods manufactured and services purchased outside of Canada with payment in foreign funds, or from authorized Canadian agents but paid for in a foreign currency, and the applicable conversion factors are as detailed in form DSS-MAS 9411 which forms part of this Contract. 4. Price adjustments in respect of changes in currency relationships after the effective date stated in the Contract will apply. They will be based upon the foreign currency component(s) as identified in form DSS-MAS 9411. Price adjustments will be computed according to the increase or decrease in the foreign exchange rate(s) from the rate(s) specified in the form. Such increases or decreases in the rate shall be based on the dates of payment to the Contractor by Canada. 5. The amount of the adjustment so payable shall be the sum of: a) the portion of the stated foreign currency component from form DSS-MAS 9411, included in the first progress claim, multiplied by the difference between the actual rate for foreign currency and the rate for foreign currency stated in the Contract (see section B of form DSS-MAS 9411); and b) any further amounts calculated in a similar fashion on each subsequent progress claim, subject to the provision that such calculation will terminate as soon as the full amount of the stated foreign currency component as shown at section C of the form has been reached. 6. On each progress claim submitted, the Contractor shall show the portion of the stated foreign currency component in foreign funds included in the claim. If the progress claim, in whole or in part, relates to goods already cleared through customs into Canada and not previously claimed on progress claims, the Contractor shall show the dates that the goods where shipped for clearance through customs, supported by a copy of the relevant shipping document.